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Court Throws Out Vedanta’s Application for Joinder in KCM Matter

Vedanta Resources Holdings Limited has lost an application in which they wanted the Lusaka High Court to join  them to the proceedings in the matter in which ZCCM-Investments Holdings PLC is seeking an order that Konkola Copper Mines (KCM) be  liquidated because it is insolvent.

According to their  application for an ex-parte  for joinder which they  filed in the High Court registry, Vedanta submitted that if it is not joined to the proceedings, it stands to suffer great prejudice as it has over 79 per cent shares in the mining company.

But judge Annesi Banda-Bobo, in her ruling delivered on June 20, 2019, has refused to join the mining company to the proceedings because there is no such procedure under the  winding up rules.

Judge Banda-Bobo has further ruled that a non-party who has an interest in winding up proceedings is required to file a notice of intention to be heard on the winding-up petition and only then can such be heard on any application before or during the hearing of the actual petition as opposed to commencing an action through a writ of summons.

In the application, the Company’s representative Hermien Uys  explained that ZCCM-IH and Vedanta are KCM shareholders.

Uys stated that he was  aware that President Edgar Lungu had  assumed the responsibility of a provisional liquidator.

He stated that Vedanta had invested millions of dollars in KCM with a view to realising a return on the investment over a period of time and that it was therefore within Vedanta’s interest that KCM should continue as a going concern.

Uys  further stated that as as a majority shareholder in KCM, Vedanta would have  suffered a great prejudice if the court ordered that the mining company be wound up without hearing it.

On May 21, the petitioner filed a petition, seeking an order to wind up KCM and asked the  Court to  appoint  Lusaka lawyer  Milingo Lungu to be a provisional liquidator.

One Response to “Court Throws Out Vedanta’s Application for Joinder in KCM Matter”

  1. Agarwal anil India

    Faka sitango

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